Freehill Mining Ltd. · ASX:FHS
Freehill Mining — Investor Presentation (October 2018)
33 slides from Freehill Mining's investor presentation, Oct 22, 2018
Slide 1: Investor Presentation Rights Issue
Investor Presentation Rights Issue 22 October 2018 Freehill Mining Limited
Slide 2: Important Information & Disclaimer
Important Information & Disclaimer IMPORTANT NOTICES This Presentation and the upcoming offer This presentation (Presentation) has been prepared by Freehill Mining Limited (ACN 091 608 025) (Company) in relation to a partially underwritten pro- rata non-renounceable entitlement offer of 1 new share
Slide 3: Important Information & Disclaimer (Cont.)
Important Information & Disclaimer (Cont.) information contained herein shall form the basis of any contract or commitment. The distribution of this Presentation in jurisdictions outside Australia may be restricted by law and you should observe any such restrictions. Any failure to comply with such
Slide 4: Important Information & Disclaimer (Cont.)
Important Information & Disclaimer (Cont.) general business, economic and mining industry conditions; interest rates and foreign exchange rates; the continuing accuracy of mineral resource and reserve estimates; geological and metallurgical conditions (including with respect to the size, gra
Slide 5: Important Information & Disclaimer (Cont.)
Important Information & Disclaimer (Cont.) Financial data This Presentation includes certain pro forma historical financial information. The pro forma historical financial information provided in this Presentation is for illustrative purposes only and is not represented as being indicative of the Co
Slide 6: Important Information & Disclaimer (Cont.)
Important Information & Disclaimer (Cont.) Not for release or distribution in the United States This Presentation is not an offering document and does not constitute an offer for sale of or a solicitation of an offer to buy securities in the United States of America or its territories or possessions
Slide 7: Competent Persons Statement
Competent Persons Statement The information contained in the report that relates to Mineral Resources, Exploration Targets and Exploration Results is based on information compiled or reviewed by Peter Hinner, who is a Member of the Australasian Institute of Mining and Metallurgy. Mr Hinner is a cons
Slide 8: Freehill Overview
Freehill Overview Freehill Mining Limited “Freehill” an Australian Securities Exchange (“ASX”) public listed company, through its 100% owned subsidiary Freehill Investments and 100% owned Chilean subsidiaries Yerbas Buenas SpA and San Patricio SpA is developing the Yerbas Buenas Iron Ore Project (
Slide 9: Entitlement Offer
Entitlement Offer Rights issue at 1.5 cents per share with 1 share on offer Entitlement Offer for every 2 shares held to raise $3 million AUD. 1.5 cents per new share which represents: A discount of 16.67% to the closing price of 1.8 cents on Offer Price 19 October 2018 A discount of 25.87% to
Slide 10: Rights Issue - Rationale for the Offer
Rights Issue - Rationale for the Offer After its ASX listing, the Company took the view that commencing a small scale mining operation in the form of a trial mining pit and crushing plant was possible, with clear evidence of a magnetite structure and mineralisation. Magnetic processing equipment
Slide 11: Rights Issue – Use of Funds
Rights Issue – Use of Funds Exploration activities within Yerbas Buenas A$849,000 project area will include: to define iron magnetite Resource in south structures using Reverse Circulation drill copper/gold mineralisation in north using geophysical techniques including ground magnetics and Induc
Slide 12: Rights Issue – Indicative Timetable
Rights Issue – Indicative Timetable Event Date Announcement of Entitlement Offer and lodgement with ASX 22 October 2018 Ex-date from which Shares commence trading without entitlement to participate in the 24 October 2018 Rights Issue Record Date to determine entitlement to participate in the Entitle
Slide 13: Pro-forma Balance Sheet
Pro-forma Balance Sheet Audited 30-Jun-18 Pro Forma 30 June 2018 Current assets 1,166,342 4,166,342 Non-current assets 12,666,803 12,666,803 TOTAL ASSETS 13,833,145 16,833,145 Current liabilities 5,475,052 5,091,357 Non-current liabilities 1,847,500 572,500 TOTAL LIABILITIES 7,322,552 5,663,857 NET
Slide 14: Capital Structure post capital raise
Capital Structure post capital raise Shares Number Shares on issue at the Announcement Date 406,408,212 Options on issue at the Announcement Date 1,984,725 Convertible Notes on issue at the Announcement Date 481,453 Shares offered under the Entitlement Offer 205,000,000 Total Shares on issue on comp
Slide 15: Project Background
Project Background
Slide 16: Project Location in South America
Project Location in South America 16
Slide 17: Local Features
Local Features + 3 ‘ 9 ; s . § g I g Chungungo % ! t New Port , Major Mining Projects 7 18km = 5-30km North | 6724000 6724000) Freehill Mining Limited Yerbas Buenas Project LEGEND Township 6722000 | [| Tenement Boundary — — HV Powerline — Motorway Tertiary Roads CoauIimMBo Los Hornos A) Township REG
Slide 18: Concessions Boundaries
Concessions Boundaries 18
Slide 19: Corporate Structure
Corporate Structure Freehill Mining Ltd Group headquarters Melbourne Australia 100% Freehill Investments Pty Ltd 100% 100% Yerbas Buenas SpA Chile San Patricio SpA Chile (Yerbas Buenas tenement) (Arenas tenements) 19
Slide 20: Development Summary
Development Summary The company intends to prioritise and accelerate its maiden exploration activities over the next 6 months with the view to obtaining a JORC Resource Estimate. Development focus was initially on the operation of a bulk sampling-trial mining and demonstration processing plant t
Slide 21: Company History Since Listing
Company History Since Listing Freehill was listed on the ASX as FHS 12th January 2017 At the time of listing, the total number of shares on issue was approximately 331 million. Currently, the total issued capital is 403 million shares. Prior to listing on the ASX the company mined and processe
Slide 22: Project Features
Project Features Freehill’s Yerbas Buenas project is uniquely situated in an area with all the infrastructure to potentially support a large mining operation from equipment supply through to product sale and export. The key to further development will be the definition of a resource through a series
Slide 23: Significant Infrastructure
Significant Infrastructure 2km from the PanAmerican Highway Yerbas Buenas 32km north of a well serviced city of 400,000 population Coquimbo-La Serena provides support services to the southern Atacama mining industry 18km from Chile’s next major export port, Cruz Grande at Chungungo that will
Slide 24: Trial Mining & Processing
Trial M ining & Processing In only 1 2 months November 2016 March 2017 February 2018 24
Slide 25: Sale of Magnetite from Trial Mining
Sale of M agnetite from Trial M ining Freehill’s subsidiary, Yerbas Buenas SpA has an offtake agreement with a CMP processing plant for the supply of magnetite concentrates Compania Minera del Pacifico “CMP” is a division of CAP S.A., Chile’s largest iron ore and steel producer. Freehill, tradin
Slide 26: The Chilean Iron & Copper Belt
The Chilean Iron & Copper Belt “Yerbas Buenas is in the company of good neighbours” The Chilean iron & copper belt has literally dozens of operating iron ore & copper mines and numerous identified world class resources Latin America’s oldest iron ore mine ‘El Tofo’ just 15km to the north along sam
Slide 27: Geology
Geology Project is situated on the confluence of the Atacama and El Tofo structural faults which are significant features of the ‘Iron Belt’ in Chile Tenement contains 7 major magnetic structures CAP’s historical drilling in southern portion suggests that these Position of CAP drill holes are
Slide 28: Exploration Targets – Maiden Campaign
Exploration Targets – M aiden Campaign This image shows the magnetic structures identified by the Company’s most recent ground magnetic surveys. The 200m line spaced survey completed over the northern half of the tenement in 2015 and the 25m line spaced survey completed in 2017. Seven main magnetic
Slide 29: Major Regional Fault System
M ajor Regional Fault System Santa Dominga El Tofo mine Copper & iron mine Higuera copper mine Image below is a Shuttle Cruz Grande Radar Topography Mission Port ‘SRTM’ image of the El Tofo and Atacama Faults El Tofo Fault Atacama or regions showing Yerbas Romeral Fault Buenas at a confluence of the
Slide 30: Mineralised Structure Modelling
M ineralised Structure M odelling 3D Inversion Modelling The adjoining two images show the current trial mining pit design which has benches planned to 150m below collar The section arrows relate to the 3D inversion section depicted below. The 3D inversion inversion section through trial mining pit
Slide 31: Mineralised Structure Modelling (cont.)
M ineralised Structure M odelling (cont.) 3D Inversion Modelling ( cont.) The image bottom right shows the depth and extent of the large magnetic structures under the Yerbas Buenas project area which are associated with magnetite mineralisation The two darker images show a north-south cross section
Slide 32: Gold and Copper Potential
Gold and Copper Potential Numerous artisanal gold and copper tunnels and shafts Very clear vein structures visible in El Dorado and Gavilan fault areas Gold mineralisation only 1500m from current mining pit Respected Chilean geologist has looked over the area and confirmed that its geology i
Slide 33: Freehill Mining Limited contact details
Freehill Mining Limited Tel: 03 8658 5976 info@freehillmining.com www.freehillmining .com
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